China Business News, 6/19/08
With its first quarter earnings falling 7% to USD 179 mln, consumer electronics retailer Best Buy plans to slow down its expansion in China in 2008. The company had originally aimed to open 5 to 8 Best Buy stores, and another 20 to 25 under the Five Star Appliance brand, but will cut down these numbers to 1 to 3, and 8 to 16, respectively.
The time needed to obtain government approval on opening new stores had also exceeded Best Buy's expectation. Despite that, Bob Willett, CEO of Best Buy International, said the company is not giving up opportunities, and will prepare for further expansion in China.